What If Your Goods Get Damaged or Missing?
Since you have no control over the vessels or cargo during the shipping process, you need to be ready to file a claim should anything happen. Before the issuance of marine insurance policies, companies often verify if the person or person is eligible.
Manufacturers, buyers, sellers, import/export agents, and anyone operating a business that involves the movement of goods by water and other means is entitled to marine insurance. If you lose your cargo or some of it is damaged, you will need to file a claim.
The Claim Process
When making a claim, you need to make sure the reason behind your losses is covered in the policy. You should pay attention to the exclusions and eliminate them should you be forced by circumstances to make a claim.
When going to make a claim, you need;
- To inform the insurer immediately, you find out about an accident or act that led to damage and loss of cargo or damage to the ship.
- Get a surveyor to assess the level of damage or loss. You will need to get one at the location of the incident. However, it has to be a certified surveyor whose report will be approved as authentic by the insurance company.
- Get statements from witnesses. This could be anyone who can verify what happened. You can also use police reports to serve as proof.
- If the problem is a missing package, you will need to file a monetary claim.
- The Insurance company will assess the claim and either approve or disapprove of it.
- If there are disputes with the claim, or if you do not agree with the insurer’s report, you can approach the court of law for a fair hearing.
The Documents Needed For The Claim Process
You need to have the necessary documents to make the process seamless when making a claim. Some of the documents you need include;
- A filled claim form
- The original marine insurance certificate with the policy number.
- A copy of the bill of lading.
- The report from the surveyor.
- Packing list of the cargo on board the ship.
- Original invoice and shipping specification.
- Copy of correspondences with the buyer or seller.
The Main Exclusions In Marine Insurance Policies
Before you make a claim against your cargo or vessel, you need to ensure that the cause is covered in the policy.
Some of the exclusions across the various marine insurance policies include;
- Planned or intentional damage to vessel or cargo.
- Poor packaging of cargo
- Strike and riots
- Wear and tear
- Removal of the wreck
- The financial distress of the shipping line.
Fortunately, cargo insurance in Singapore covers a range of probable causes. However, knowing the exclusions will help you determine whether initiating the claim process will be a worthwhile cause. You don’t want to waste money going to court after the insurance company rejects your claim when there is no possibility that you will be compensated.
You need to be ready to make a claim whenever the shipping process begins. When you have the documents ready, you can quickly initiate the process so your compensation can be fast-tracked.
Although marine insurance protects your company against losses, delays may impact your business in several ways. You want to claim compensation quickly to ensure your business continues running as expected.